Embezzlement case: SIS India CMD Kakkad gets police custody

Sunil Kakkad, the CMD of a city-based information technology firm, was today remanded in police custody till July 14 by a local court in connection with an alleged Rs 8.51 crore embezzlement case.
The remand application was made by the city crime branch before Additional Chief Judicial Magistrate H G Pandya of the Ahmedabad rural court.
Kakkad, CMD of Sai Infosys Systems (SIS) India Ltd, had been absconding since June 28 last year after allegedly duping employees of his firm, lenders and suppliers following which a red corner notice was issued against him.
He was extradited here yesterday from Monrovia, the capital city of the West African country of Liberia, by officials of the Special Operation Group (SOG) of the crime branch.

Seeking Kakkad's remand for 14 days, the SOG said that the accused duped his employees to the tune of over Rs 8.51 crore by not paying their dues.
According to the official, Kakkad had not paid salary to 1400 employees since August 2012 on the ground that his firm has been facing a serious financial crunch but simultaneously made investments in foreign countries.

In the remand application, investigating officer and police inspector, J H Sarvaia of SOG said the accused has not paid salary, provident fund and employment scheme amount for two years but made investments abroad.
"There is a probability that the accused (Kakkad) has transferred the amount through a hawala where the involvement of others cannot be ruled out," the application said.

The SOG also suspects a conspiracy by Kakkad as he fled to the African country and prepared a forged passport to evade arrest.